J Sainsbury PLC (SBRY.LN) said Tuesday that it will increase the base rate of pay for its in-store employees, but will reduce the number of in-store roles.

The supermarket group said it will invest more than 100 million pounds ($138.2 million) in its in-store staff, which will include increasing the base rate of pay to GBP9.20 an hour from GBP8 an hour. Staff working in zones one and two in London will see the base rate increase to GBP9.80 an hour, it said.

FTSE 100-listed Sainsbury's said it will also reduce the number of in-store roles to five from 22, and will remove colleague bonuses and paid breaks.

Simon Roberts, Sainsbury's retail and operations director, said the proposed changes will ensure the company retains staff in a competitive retail environment.

At 0950 GMT, shares in Sainsbury's were down 5.50 pence or 2.2%, at 247.40 pence.